IAGS APPROACH IS A WIN-WIN
Interview with Anton Tagliaferro, Investment Director of Investors Mutual Ltd (IML). IML is one of IAGs largest institutional shareholders with a holding of over 10 million shares.
So how does IAGs approach to sustainable business look after our shareholders? IAG spoke with Anton Tagliaferro, Investment Director of Investors Mutual Ltd (IML).
IAG: How do you think the market perceives the value of businesses engaging with some of the big social and environmental issues of our time?
AT: As an investor in the company, its reassuring to know that IAG is aware of the social and environmental issues that are fundamental to its business. It gives us comfort that the company understands key issues when its pricing its products. It is great to see IAG taking a leadership role on climate change which is clearly a big issue for insurers. Its a positive for shareholders and for the environment, a classic win-win.
IAG: Do you think IAG is heading in the right direction with its sustainability work? Do you think it will enhance shareholder value?
AT: IAGs approach is sensible and solid, the company is engaging with some of the key issues that are directly relevant to its business, so its philanthropy that has business value. More than that, IAGs approach demonstrates that there is an ethos of long term thinking running through the business. Thats what we look for when we make investment decisions. Its great to see large companies like IAG showing leadership in this area and doing positive things to promote the issues; for example, seeing IAG sponsoring an event where Al Gore presented to a group of your stakeholders it was fantastic.
IAG: Do you think that attitudes to sustainability are changing for investors? Is this material in the choices that investors make?
AT: For many institutional investors there often tends to be a focus on short term results, but this will change. Theres growing pressure from many of our clients to measure ethical issues, and we are also seeing ethical funds grow in popularity. As self managed super and member choice grows, more people will choose to invest in companies that are acting in a sustainable way. That doesnt mean its the only issue to consider, but it is becomingly increasingly important. Weve seen companies run into trouble when they havent considered environmental and social issues, and that harms shareholder value. In our view, if a company is thinking long term with its decisions and actions it is more likely to be a good investment. I think IAG is to be congratulated for what its doing.
Mr Anton Tagliaferro BA (Hons) ACA ASIA
Investment Director, Investors Mutual Limited
Anton was born and raised in Malta and was educated at St Aloysius College. In 1978, Anton moved to London where he completed his Bachelors Degree in Accountancy with Honours.
In 1981, Anton commenced his professional career with Deloittes in London and subsequently gained the status of Chartered Accountant. Anton has over 24 years experience in the financial services industry, having worked successfully as a fund manager with Perpetual Trustees, County NatWest and BNP.
Anton established IML in 1998 as a specialist Australian equities fund manager. IML today manages Australian equity portfolios of over $5.5 billion as at 30 June 2007. Anton is married and has three children.
The information in this report is of a general nature only and does not take into account an individuals personal circumstances. It does not constitute a recommendation to buy or sell IAG shares. Before investing in any financial product, you should consider your own personal circumstances and where appropriate seek professional financial advice.
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